Foreign nationals looking to live in the U.S. have several visa paths available, investment visas being one of them. Under U.S. investment visa categories, two popular options are the E-2 treaty investor visa and the EB-5 immigrant investor program.

This article will explore these two visa options, delving into their similarities, differences, and requirements.

Eligibility Criteria for an E-2 Visa

The main factor that determines E-2 visa eligibility is the applicant’s nationality. Treaty investors must be citizens of an E-2 treaty country. This includes any form of legally obtained citizenship, including naturalization.

Currently, the United States holds E-2 treaties with more than 70 countries.

Key Requirements

Candidates for the E2 visa are required to invest in a U.S. business and plan to leave the U.S. upon visa expiration. However, the E2 visa can be renewed, allowing treaty investors to remain in the U.S. well beyond the initial two-year term, despite the requirement to eventually leave.

Unlike other investment visas that specify a minimum investment amount, the E2 visa does not have a fixed minimum investment requirement. Instead, E-2 treaty investors must make a significant investment that is enough to buy or establish a business, demonstrating a serious financial commitment to managing and growing the business.

The business in question must be a legitimate, for-profit enterprise engaged in entrepreneurial activities.

A core purpose of the E-2 visa is to create jobs for American workers, which means that the business must be able to generate substantial income to support the investor and their family, as well as contribute positively to the American economy.

While no exact minimum investment amount is required, industry experts often suggest an investment of no less than $100,000 to ensure a viable application, as smaller investments may not be deemed significant enough to qualify.

A larger investment amount typically strengthens the investor’s case by showing their financial commitment to the business.

The investment must meet the “at risk” criteria for the E2 visa, meaning it must be fully committed to the business without guarantees of return.

This commitment is evidenced by funds already spent or in the process of being spent at the time of the E2 visa application.

Typically, an E-2 treaty investor should hold a minimum of 50% ownership in the business, hold an executive position, or have a role that provides control and operational oversight.

Pros and Cons

• The E2 visa grants an initial stay of two years, with the possibility of indefinite renewal in two-year intervals. There’s no cap on the number of renewals an E-2 visa holder can obtain, as long as the business continues to operate and meet the criteria of the E2 program.
• E-2 visa holders enjoy the liberty to travel in and out of the U.S. without any limitations, and there’s no restriction on the duration of travel. However, it is important to be aware of the visa’s validity, as complications may arise if the visa expires while the investor is outside the U.S.
• The E2 visa is known for relatively faster processing times, although the exact timeline can vary depending on the details of each case.
• Employment for E-2 visa holders is confined to the business in which they have invested.
• Prospective investors must note that the E-2 visa is a non-immigrant visa, which means it does not offer a direct pathway to a U.S. Green Card or citizenship.

E-2 Visa Eligibility for Family Members

The E2 visa also extends eligibility to the dependent family members of the investor, which includes their spouse and unmarried children under 21 years of age.

If these dependents receive E-2 approval, they are granted the same duration of stay as the primary treaty investor. The nationality of dependents does not have to match that of the main applicant.

Spouses are eligible to apply for a work permit, while children under 21 can pursue education in the U.S.

However, dependency under the E2 visa has its limitations; children will lose their dependent status upon reaching the age of 21, making them ineligible to remain on their parent’s visa as dependents.

Ideal Business Ventures for E-2 Investors

An E-2 treaty investor has the flexibility to invest in various business types, depending on the investor’s personal interests, as long as the business complies with E2 criteria and all relevant regulations. Popular choices among investors include multinational companies, franchise operations, restaurants, and consultancy firms.

How to File an E-2 Visa Application

For a successful E-2 treaty investor visa application, investors need to fulfill all eligibility criteria and carefully navigate the application process.

Applicants must file several documents for the E2 visa, including Form DS-160, the Online Nonimmigrant Visa Application, and Form DS-156E, the Nonimmigrant Treaty Trader/Investor Visa Application.

The necessary documents for an E2 visa application also include a current passport, evidence of business premises through a lease or purchase agreement, state business registration or a sales license, and a federal employer identification number. Financial statements, acquisition contracts, valuation of assets, and proof of payments are critical for demonstrating the establishment of the business.

Moreover, the source of investment capital must be documented, with items like loan documents and receipts from the sale of assets.

Where relevant, additional details on business operations should be provided, including but not limited to customer contracts, share certificates, escrow fund evidence, partnership agreements, billing documents, and financial records.

A critical component of the E2 visa application is a detailed business plan, further discussed below.

E-2 Visa Business Plan

A comprehensive business plan must be included in an E2 visa application. This plan should outline future projections and the deployment of investment towards the success of the business. Essential components of this plan include financial, operational, staffing, and marketing strategies, alongside the applicant’s qualifications and background.

The business plan must present a profit and loss forecast for the upcoming five years, demonstrating that the investment will fulfill growth expectations and generate employment throughout the visa’s validity.

The plan needs to be realistic and achievable. Investors seeking to extend their E2 visa must show evidence of realized business objectives, as detailed in the initial plan.

While there is no minimum amount of investment required, the invested capital must be significant relative to the total business cost. It falls upon the investor to justify that the investment is substantial when the business and its demands are considered.

To support their claim, a treaty investor might present various documents such as business bank statements, income proofs, loan agreements, and receipts of business expenditures, demonstrating the assets at risk.

The E2 visa supports various business models, requiring investors to outline a clear plan for how their business will operate. Since E2 visa holders will be managing and growing a business, having a well-defined management structure is crucial.

The business plan must also prove the investor’s capacity to employ U.S. workers, detailing the number and nature of the positions to be created.

Furthermore, a marketing strategy should be set up within the business plan to explain the economic benefits of the investor’s funding to the U.S. economy. The inclusion of U.S. contacts or signed letters of intent can help with this.

E-2 applicants are required to show that their expertise and experience directly align with the business venture. Those with exceptional skills may also explore the O-1 visa as an option, although it offers a significantly different immigration pathway.

Why Professional Advice is Crucial for E-2 Visa Applicants

Securing an E2 visa may require a lower investment amount compared to other investment options, but applicants face the potential loss of both time and resources if their E2 visa application is incomplete, incorrect, or fails to meet the necessary criteria.

This is why collaborating with an immigration lawyer can greatly improve the chances of meeting all E2 visa requirements. Experienced immigration attorneys are also well-positioned to connect the treaty investor with other experts within the industry as needed.

The Differences Between E-2 and EB-5 Visas

The EB-5 visa, like the E2 visa, is an investor visa, granting foreign nationals the opportunity to live and work in the U.S. by making a significant investment in a new commercial enterprise (NCE). Yet, there are significant differences between these two types of visas.

Unlike the E2 visa, the EB-5 visa specifies minimum investment thresholds. For investments in a targeted employment area (TEA), the minimum is set at $800,000, while investments outside these areas require at least $1,050,000.

The EB-5 visa offers a pathway to conditional permanent residency in the U.S. for a period of two years, granting the right to live and work anywhere within the country. This can lead to obtaining a permanent Green Card. While the E2 visa permits holders to temporarily live in the U.S., it restricts employment to the business involved in the investment.

A crucial distinction to note is that the E2 visa falls under the non-immigrant category and does not offer a direct route to permanent residency. Although it can be renewed indefinitely as long as the holder meets the visa requirements, it doesn’t promise a permanent stay or eventual citizenship.

EB-5 visa holders, on the other hand, can transition from conditional to permanent residency after two years, obtaining the freedom to live and work anywhere in the U.S., no matter where the NCE is located.

Moreover, after five years of residing in the U.S. through the EB-5 program, individuals become eligible to apply for U.S. citizenship. Their two years of conditional residency in the U.S. can count towards this residence requirement, which makes the U.S. naturalization process even shorter for EB-5 investors.

How to Select the Best Option

Due to the differences between EB-5 and E-2 visas, investors are advised to conduct thorough research to determine which option aligns best with their goals and preferences.

Seeking assistance from experienced industry professionals during the due diligence and application stages can be advantageous for prospective investors.

EB5AN has helped more than 2,300 families from 60 countries relocate to the United States as lawful permanent residents. Our expert team has more than a decade of experience, and offers clients first-rate, low-risk EB-5 regional center projects with 100% USCIS project approval rate to date.

If you’re interested in learning more about the E-2 and EB-5 visa options, book a call with us today to discuss the specifics of your immigration plans.

Finding an experienced and knowledgeable immigration attorney is one of the most crucial decisions an investor can make to streamline the EB-5 process.

The Importance of Hiring a Qualified EB-5 Attorney

There are many decisions that individuals must make when applying for a United States Green Card through the EB-5 Immigrant Investor Program, but perhaps none is as important as choosing the right EB-5 attorney. A lawyer with experience and expertise in the EB-5 visa application process can help applicants better understand the several complex requirements of the EB-5 program. Failure to submit paperwork in a timely manner or neglecting certain details on one of the many necessary forms could lead to significant delays in the processing of an EB-5 application. As such, finding a competent, knowledgeable, and attentive EB-5 lawyer is essential for effectively navigating the process.

The Crucial Role of an EB-5 Lawyer in the Visa Application Process

Given the complexity of the EB-5 process, hiring an experienced immigration attorney is crucial. An experienced immigration attorney should have a comprehensive understanding of the intricacies of the EB-5 program, especially given the changes brought on by the enactment of the EB-5 Reform and Integrity Act (RIA) in 2022. From the initial step of filing a Form I-526E to the final step of filing a Form I-829, an EB-5 lawyer is crucial for guiding investors through the entire process of obtaining U.S. permanent residency.

A qualified EB-5 lawyer will effectively act on the behalf of investors every step of the way. This includes a wide variety of functions, including ensuring accurate completion of every form, coordinating necessary submissions to United States Citizenship and Immigration Services (USCIS) and other government agencies, helping to prepare the investor’s source of funds (SOF) documentation, keeping the investor updated on the status of the new commercial enterprise in which they invested, preparing investors for their embassy interview, and much more.

The entire EB-5 application process can take several years, and incomplete forms or missed deadlines can further delay the process, costing investors time and money. In worst-case scenarios, mistakes can even lead to outright rejection of an EB-5 investor’s application. A qualified EB-5 attorney will have expertise in immigration law – as well as knowledge of what makes for a sound EB-5 investment – that will help prospective immigrants make the most informed decisions throughout the entire process.

How to Ensure an EB-5 Attorney Has a Track Record of Successfully Filing I-526E and I-829 Petitions

It’s important that every EB-5 investor does their own due diligence throughout the process, and choosing an EB-5 lawyer is no exception. Attorneys with a proven track record of success are always the safest options. In order to identify an EB-5 lawyer who has successfully navigated the process many times before, prospective immigrants should ask a series of questions to make an informed decision on which attorney to hire.

Before making a hiring decision, every EB-5 investor should ask prospective immigration lawyers how many successful Form I-526Es and Form I-829s they have filed, as well as their approval rates on these petitions.

Form I-526 – or, far more likely, Form I-526E, for prospective immigrants who invest through the USCIS-approved regional center program – is the very first form in the EB-5 process. The form grants the investor and their eligible dependents conditional United States Green Cards, and is submitted once they have selected a project in which to invest. The I-526E petition asks for personal information from the investor, specific documentation about the project, proof that the required minimum investment has been made, and information about the source of their investment funds.

Three months before the conditional Green Card expires, EB-5 investors are required to submit an I-829 petition, which proves that they have successfully met all USCIS requirements, thereby allowing them to live in the United States permanently.

Forms I-526E and I-829 are, in a sense, the first and last steps in the EB-5 process, respectively. Every qualified EB-5 attorney will have filed both forms countless times, and will be able to provide their approval rates. The more times an immigration lawyer has navigated the process from beginning to end, and the higher rate of success they have attained, the more confidence a prospective EB-5 investor can have in the approval of their own application.

How to Find an EB-5 Lawyer with Experience Demonstrating Lawful Source of Funds

Every EB-5 investor needs to clearly lay out the source of funds (SOF) for their investment in their I-526E petition, whether in the form of bank statements, stock or real estate transfer documents, proof of inheritance or gifts, or various other forms of documentation. USCIS requires detailed evidence that an investor’s funds were legally sourced, which often requires that investors provide a lengthy history of transactions. Insufficient proof that every transaction in that chain was lawful can result in application delays or rejections.

Regardless of the source of the investor’s funds, and especially in instances of mixed sources of funds, an experienced EB-5 lawyer will have a clear strategy for compiling all of the necessary documentation. Failure to provide the level of detail required by USCIS is among the most common stumbling blocks in the entire process, so the most competent EB-5 lawyers will have a thorough plan for compiling the information needed.

How to Identify an EB-5 Attorney with the Right Experience for an Investor’s Unique Circumstances

Every EB-5 application is unique, so every investor should look for an EB-5 lawyer with experience and knowledge that fits their circumstances. The documentation required by USCIS may be in a different format than what is easily attainable by an applicant, depending on their home country. As a result, finding an EB-5 attorney with experience processing a significant number of applications from an individual’s home country is imperative.

In addition, every competent EB-5 attorney should be able to provide a list of prior clients, ideally from the applicant’s country, who can provide testimonials about their experience. The quantity and quality of these testimonials, as well as how similar they are to the applicant’s own circumstances, can go a long way in providing assurance that a particular EB-5 attorney has the experience to successfully guide an investor through the process.

Prospective EB-5 investors should always do their own due diligence before hiring an EB-5 attorney to help lead them through the process. For 10 years, EB5AN has worked with several excellent EB-5 attorneys, and is committed to helping investors identify the lawyer with the right experience for their unique circumstances. To request a list of EB-5 lawyers that we are proud to endorse, please contact us here, or reach us via phone, text, or WhatsApp at +1 (561) 386-5356.

Established in 1990, the EB-5 Immigrant Investor Program aims to stimulate economic development in the United States. By investing in a qualifying New Commercial Enterprise (NCE), EB-5 investors, along with their dependent family members, become eligible for an EB5 Green Card.

Participants in this program obtain lawful permanent residency in the U.S., with the opportunity to seek U.S. citizenship afterward.

However, interested individuals should first do some research into whether they qualify for a Green Card through investment. The EB-5 program eligibility depends on several factors, and understanding these factors can greatly benefit EB-5 investors throughout their application process.

In this article, we will explore the requirements to get a U.S. Green Card, specifically through the EB-5 Immigrant Investor Program.

EB-5 Green Card Eligibility

The two key criteria for EB5 eligibility are the minimum capital investment and participation in the New Commercial Enterprise (NCE) management. The necessary investment amount varies depending on the EB-5 project; an NCE located within a Targeted Employment Area (TEA) requires a lower investment amount than in areas outside of TEAs.

The source of the invested capital is not restricted, but it must be lawfully acquired, which is demonstrated through the EB-5 source of funds process. Additionally, the investor’s level of involvement in the NCE can differ based on the NCE’s organizational structure.

For all EB 5 requirements, sufficient evidence must be presented to the United States Citizenship and Immigration Services (USCIS), which operates under the Department of Homeland Security, to prove compliance with these conditions.

EB5 immigrant investors are not required to have prior business experience or training. There are also no education or nationality limitations.

EB-5 Investment and Job Creation Types

Prospective EB-5 investors have the option of selecting either direct or indirect (Regional Center) investment approaches. Regardless of this choice, all successful investments yield the same ultimate benefit: U.S. permanent residency. However, the choice of investment type can make a difference in the simplicity, ease, and feasibility of the EB-5 process. Investors need to fully grasp both alternatives before deciding.

EB-5 Job Creation

The primary difference between direct and Regional Center investments lies in job creation, so it’s important to understand this requirement before deciding on the investment type. Every EB-5 project must generate at least 10 jobs per investor. Depending on the investment route, these can be counted across three different employment types: direct, indirect, and induced jobs.

Direct Jobs

Direct jobs are created directly by the NCE, such as positions in construction or operations. Only full-time jobs can be counted towards this requirement. While part-time roles do not qualify, job-sharing arrangements may be acceptable.

Indirect and Induced Jobs

Indirect jobs stem from the investment’s economic influence on the local area, such as when the business’s purchases of materials and services create new jobs.

Induced jobs occur when employees spend their earnings locally, further stimulating the economy.

Direct EB-5 Investments

Only a minority of EB5 investors opt for direct investments, as this model only allows for direct jobs to be counted towards the job creation requirement. However, some investors who seek greater control over the day-to-day management of their EB-5 business favor this option.

EB-5 Regional Center Investments

The majority of EB-5 investors prefer the indirect investment route via a USCIS-designated EB-5 Regional Center, offering a more passive investment approach. This method allows for the inclusion of direct, indirect, and induced jobs in the job creation count, which makes it easier for investors to fulfill the EB-5 requirements.

How Much Does an EB-5 Green Card Cost?

Introduced in 1990, the EB-5 program initially required a capital investment of $1,000,000, with a reduced threshold of $500,000 for investments in Targeted Employment Areas (TEAs).

In 1992, the establishment of the EB-5 Regional Center Program offered an alternate pathway for investment. These investment minimums stayed the same until 2019, when the EB-5 Modernization Rule was enacted, raising the minimum investment to $1,800,000 for standard areas and $900,000 for TEAs.

In 2022, with the introduction of new legislation, the minimum investment amount for the EB-5 visa was reduced. The current minimum investment requirements are $1,050,000 for non-TEA projects and $800,000 for TEA projects, with public infrastructure projects also qualifying for the lower investment threshold.

TEAs are defined as areas in need of economic revitalization and job creation. Investing in a TEA costs less than in non-TEA areas, which helps regions in need of economic development attract more capital from foreign investors.

TEAs are categorized into rural TEAs and High Unemployment Areas. A rural TEA must have a population under 20,000, not be located next to a city with a population over 20,000, and lie outside a Metropolitan Statistical Area (MSA). High Unemployment Areas are characterized by unemployment rates of at least 150% above the national average.

How Long Should EB-5 Investors Keep Capital Invested?

The EB-5 timeline varies for each investor, but in some cases, the process can span several years. EB5 investors need to keep their investment committed to the business until project completion. Additionally, the investment must be “at risk,” meaning that the return of capital is not guaranteed.

Depending on whether the investor is already in the U.S. or not, they are eligible to apply for a two-year EB-5 Green Card following the approval of their I-526 or I-526E forms, or petition to adjust status at the same time as the I-526 filing depending on visa availability.

Investors are required to submit Form I-829 within the final 90 days of their two-year conditional residency. This form is used to demonstrate to USCIS that the EB-5 project has followed its business plan and fulfilled all requirements, especially in terms of job creation. Once approved, the investor receives a permanent Green Card, which can be renewed indefinitely.

How Many EB-5 Visas Are Available Each Year?

U.S. immigration processes are based on a quota system, limiting the number of visas available to foreign nationals annually. This system applies to the EB-5 Immigrant Investor Program as well, with the U.S. Department of State (DOS) determining the EB-5 visa allocation each fiscal year.

With the enactment of the EB-5 Reform and Integrity Act, the allocation rules were revised. Currently, 32% of the yearly EB-5 quota is set aside for TEA investments and infrastructure projects—20% for rural TEAs; 10% for high-unemployment TEAs; and 2% for infrastructure projects.

If any of these designated visas remain unclaimed by the fiscal year’s end, they carry over to the next year within the same categories.

Additionally, each country is limited to receiving no more than 7% of the total annual EB-5 visas. Countries with high demand often surpass the allocated number, leading to a backlog known as visa retrogression.

The new visa set-aside provision offers a significant advantage for EB-5 investors from backlogged countries, allowing them to bypass the waitlist and secure their EB-5 visas more quickly. As of March 2024, individuals born in Mainland China and India are facing backlogs in the unreserved categories, while set-aside categories are current for all EB-5 investors.

What Does the Visa Bulletin Mean?

During an EB-5 visa retrogression, the Department of State implements cut-off dates for applicants from the affected country to manage how they can proceed with their EB5 applications. These cut-off dates have two categories: final action dates and dates for filing.

Final action dates show the date when investors are eligible to receive an EB-5 Green Card. On the other hand, dates for filing indicate when investors can submit their applications to the National Visa Center for adjustment of status. The investor’s priority date is what determines how these dates affect them. Priority date is the day the USCIS receives an investor’s I-526 petition.

The Visa Bulletin, published monthly by the DOS, provides the cut-off dates for each country. If an investor’s priority date is earlier than the cut-off date listed on the latest Visa Bulletin, these limitations don’t apply to them and they can proceed with their EB5 immigration process. However, those with priority dates that come after the cut-off date must wait until a visa becomes available.

In the past, these backlogs meant long wait times for EB-5 investors from certain countries, like China and India. Today, with the new visa set-asides, foreign nationals can enjoy faster processing times regardless of their nationality.

By investing in one of the set-aside categories, investors can get their EB-5 Green Card faster than ever before.

How to Start the EB-5 Process

There are several decisions prospective EB-5 investors need to make before filing their I-526 petitions, like whether they want to invest directly or indirectly, which EB-5 project to invest in, how to structure their investment, etc. This is why it’s important for investors to work with the right EB-5 service providers and seek expert advice from immigration attorneys to avoid potential delays, denials, and loss of capital.

To discuss the case-specific details of how you can obtain a Green Card through investment, please schedule a call with our EB-5 team today.

The EB-5 visa, also known as the “employment-based fifth preference” visa, is a pathway to obtaining a U.S. Green Card through the EB-5 Immigrant Investor Program. This program offers one of the fastest routes to U.S. citizenship.

The EB-5 Immigrant Investor Program was established by Congress in 1990 with the primary goal of stimulating the U.S. economy through job creation and capital investment by foreign investors. Since its inception, the program has been operated by the United States Citizenship and Immigration Services (USCIS).

The United States boasts the world’s largest economy and is renowned for its political stability. Investing in an EB-5 project in the U.S. can be a lucrative opportunity, offering foreign nationals a source of consistent and reliable returns on their investments.

In this article, we will cover the topic of U.S. citizenship by naturalization, and how foreign nationals can apply for citizenship through the EB-5 immigrant investor visa.

The EB-5 Visa Pathway to U.S. Citizenship

Through a financial investment, foreign investors, along with their spouses and unmarried children under 21, can secure U.S. Green Cards, granting them lawful permanent residence. Notably, no employer or family visa sponsor is required for this program.

After maintaining permanent residence status for five years in the United States, foreign nationals become eligible to apply for U.S. citizenship. The two-year period of conditional residency in the U.S. also counts toward citizenship, which makes the process even faster.

The EB 5 program is accessible to foreign investors with a clean criminal record, and it does not require demonstrating “extraordinary ability,” having a permanent job offer, or specific work experience.

To qualify for the EB-5 visa, foreign nationals should be accredited investors with a net worth of at least $1,000,000 or an annual income of $200,000 for the last two years. Investors must also have the financial capacity to cover a substantial investment, USCIS filing fees, administrative expenses, and attorney fees.

It’s important to note that investment funds must be lawfully sourced, and both investors and their eligible family members must pass routine criminal, financial, and medical background checks to participate in the program.

In addition to serving as a pathway to both U.S. Green Cards and U.S. citizenship, an EB-5 investment can also prove to be highly profitable.

EB-5 Investment Criteria for Obtaining U.S. Citizenship

To qualify for a U.S. passport, a foreign national is first required to invest a minimum of $800,000 into a New Commercial Enterprise situated within a targeted employment area (TEA).

A targeted employment area represents a geographic region in the United States that is categorized as either rural or a high unemployment area.

The reduced minimum investment threshold for EB-5 projects located in TEAs is designed to foster investment in underserved communities. For EB-5 investment projects located outside of TEAs, the minimum required investment increases to $1,050,000.

It’s important to note that an EB5 investment must be channeled into a New Commercial Enterprise (NCE), and the investment must generate a minimum of 10 permanent full-time positions for U.S. workers. These positions must be maintained for two years.

The investment capital must remain “at risk” for at least two years, with no assurance of financial return during this period.

Moreover, all funds utilized throughout the EB5 process must have a lawful source. The source of funds requirement also applies to gifts or inheritance.

Step-by-step EB-5 Visa Application Process

Acquiring a Green Card through the EB-5 visa program can span a few months or several years, depending on the investor’s nationality, choice of EB-5 project, and various other factors.

The EB-5 process involves several essential steps. In summary, an investor must start by making the initial investment and subsequently demonstrate the creation and maintenance of permanent jobs.

It is crucial that the intended job creation is outlined in the initial immigration application through a detailed business plan. While removing conditions from the investor’s two-year conditional Green Card, the project must have followed the estimations in the business plan.

Initiating Your Investment

Investors have two main options for their investment approach. They can opt for a standalone or “direct investment,” where they invest independently in a business, or they can choose to invest through a USCIS-designated EB-5 regional center. EB-5 regional centers connect foreign investors with qualifying EB-5 projects available for investment.

It’s worth noting that standalone or direct investors are only allowed to count full-time workers who are directly employed by the new commercial enterprise towards meeting the minimum requirement of 10 permanent jobs. Regional center investors, on the other hand, have the flexibility to include indirect and induced jobs that result from business interactions with the NCE, such as those involving vendors or local businesses.

Additionally, an EB 5 investor must engage in the management of the NCE on some level. Direct investors are required to assume a more hands-on managerial role, while regional center investors can meet this requirement by serving as a limited partner.

Filing an Immigration Petition

Following their investment, foreign investors are required to submit an immigration petition to the United States Citizenship and Immigration Services (USCIS). This petition serves as evidence of their lawfully sourced qualifying investment and the job opportunities it has created.

For direct investors, the appropriate form to file is Form I-526, known as the Immigrant Petition by Standalone Investor. EB-5 regional center investors, on the other hand, should file Form I-526E, Immigrant Petition by Regional Center Investor.

The filing fee for either Form I-526 or I-526E is currently $3,675, but USCIS is raising this fee to $11,160 on April 1, 2024. It’s important to note that immigration attorney fees and any administrative costs will also apply.

The processing time for Form I-526E can vary based on factors such as demand and visa availability. EB-5 investors can check the official USCIS website for current processing times, although actual wait times often prove to be shorter than announced.

Obtaining Conditional Permanent Residence

EB-5 investors in the United States can file their Form I-485, Application to Register Permanent Residence or Adjust Status, at the same time as their I-526E petition. Investors who are already legally residing in the United States on a different visa, such as the H-1B, can enjoy the benefits of concurrent filing and apply for work and travel permits while their I-526E petitions are being processed.

Form I-485 currently has a filing fee of $1,140 for adults, with a reduced fee of $750 for children under 14 applying with a parent. An additional $85 biometrics services fee for fingerprinting is also mandatory, except for children under 14 or adults over 79, who are exempt from this fee. The USCIS fee hike of April 1, 2024, will increase the I-485 filing fee for adults to $1,440.

The processing times for I-485 petitions differ based on the field office or service center that processes them.

Investors residing outside the United States must follow the process of filing Form DS-260 to obtain their initial immigrant visa from their local U.S. embassy or consulate. They should file this form once they have received I-526E approval from USCIS.

Form DS-260 incurs a filing fee of $325, plus an Affidavit of Support fee of $120.

Upon the approval of their relevant petitions, EB-5 investors are granted a two-year conditional permanent resident status.

As a holder of a conditional Green Card, the investor, their spouse, and unmarried children under 21 have the liberty to live, work, and study anywhere within the United States.

Conditional permanent resident status is valid for two years, but it can be extended until the approval of Form I-829.

Progressing to Permanent Residence and U.S. Citizenship

During the final 90 days of an EB-5 investor’s two-year conditional permanent residency, it is important to start the process of removing conditions from their Green Card.

This involves the submission of Form I-829 to USCIS. The goal of this form is to provide sufficient evidence demonstrating that the investment fulfilled all the requirements of the EB-5 program. This includes the creation and maintenance of 10 permanent full-time jobs for U.S. workers, each lasting at least two years.

Form I-829 currently comes with a filing fee of $3,750, rising to $9,525 with the April price increase.

As of March 2024, USCIS announces the current estimated processing time for I-829 petitions as about five years. While this form is being processed, EB-5 investors can get extensions to remain in valid conditional permanent resident status.

Upon the approval of the I-829 petition, the investor, along with their spouse and unmarried children under the age of 21, will have the conditions lifted from their Green Cards. At this point, they obtain full permanent resident status in the United States.

After accumulating five years of permanent residence, which includes the initial conditional residence period, EB-5 Green Card holders become eligible to apply for U.S. citizenship. This can be achieved by submitting Form N-400, the Application for Naturalization, which can be conveniently filed online.

The Advantages of U.S. Citizenship

U.S. citizenship offers many advantages beyond lawful permanent resident status.

• U.S. citizenship provides a safeguard against deportation. Lawful permanent residents can face deportation in cases involving criminal convictions or certain activities, while U.S. citizens are protected from such deportations.
• U.S. citizens have the privilege to petition for the immigration of additional family members, including aging parents or married adult children. Lawful permanent residents are restricted to applying for their spouses and unmarried young children.
• U.S. citizens hold the right to vote in U.S. federal, state, and local elections.
• Numerous studies have demonstrated that U.S. citizens tend to enjoy a more prosperous financial status, with economic earnings exceeding those of noncitizens by 50% or more. Additionally, U.S. citizens are eligible to pursue U.S. government jobs, expanding their career opportunities.
• As for international travel, lawful permanent residents are limited to traveling outside of the United States for up to one year at a time, whereas U.S. citizens face no restrictions on their travel.

First Step to Citizenship by Investment in the United States

The EB-5 program is the only investor visa with a direct pathway to U.S. citizenship. Investors with long-term plans in the U.S. can benefit from this program not only for a streamlined immigration process but also for the prospect of having their capital repaid in a relatively short time.

To take advantage of these benefits, it is important for prospective EB-5 investors to do their due diligence and make informed decisions. The first step to U.S. citizenship through the EB-5 visa should be selecting the right team of professionals to assist investors throughout their investment process.

For additional insights on the process of becoming a U.S. citizen through the EB-5 program, book a call with our EB-5 team today.

The backlog for EB-2 and EB-3 visa categories has hit unprecedented levels, with delays outpacing even those of the EB-5 Immigrant Investor Program.

According to U.S. government statistics, recent applicants from India, which has the highest demand, could face waiting periods ranging from 20 years to an astonishing 128 years before their visa is issued.

Several factors contribute to these extreme delays in EB-2 and EB-3 visa approvals. The global demand for these visas has surged, seeing over 15,000 applications monthly. However, the annual quota remains capped at 40,000 visas for both EB-2 and EB-3 categories. This cap includes family members eligible for visas, not solely the primary applicant.

In this article, we will delve into the processes for EB-2 and EB-3 visas and analyze government data to understand the reasons behind these significantly extended wait times for both new and existing applicants. We’ll look into alternative pathways for those in the queue for EB-2 and EB-3 visas.

Understanding EB-2 and EB-3 Visas

The EB-2 and EB-3 visas fall under employment-based (EB) categories, offering holders the opportunity for permanent residency in the United States, with the United States Citizenship and Immigration Services (USCIS) overseeing these programs.

Overview of the EB-2 Visa

The EB-2 visa caters to foreign professionals either with an advanced degree or outstanding skills. Eligibility for the visa with an advanced degree necessitates holding a master’s, doctorate, or equivalent degree from abroad. For those claiming exceptional ability, the applicant must meet at least three of the following criteria:

• Possession of a university degree or diploma in their field of expertise.
• A valid license or certification allowing professional practice.
• Notable acknowledgments for contributions to their industry.
• Affiliation with pertinent professional organizations.
• Proof of a high salary or other compensation indicative of superior ability.
• Recommendation letters from past and present employers verifying at least a decade of professional experience.

Insights into the EB-3 Visa

The EB-3 visa is designated for skilled workers and professionals from abroad whose occupations necessitate a minimum of a U.S. bachelor’s degree or its international equivalent, or a minimum of two years of vocational training. Applicants are required to have at least two years of work experience in their respective fields.

For both EB-2 and EB-3 visas, the holder’s spouse and their unmarried children under 21 years old are eligible to accompany or follow to join them in the United States. Additional family members may be eligible for family-based immigration in the future, particularly if the visa holder proceeds to apply for U.S. citizenship.

Procedures for EB-2 and EB-3 Visas

The application process for both EB-2 and EB-3 visa categories involves similar steps. Applicants must have a permanent, full-time job offer from a U.S. employer, and the employer must first receive labor certification from the U.S. Department of Labor (DOL), not USCIS.

Upon extending a formal job offer to an international worker, the U.S. employer is required to secure a certified ETA Form 9089, Application for Permanent Employment Certification, or PERM, from the DOL. This certification confirms that there are no available or qualified U.S. workers for the job and that hiring the immigrant will not negatively impact the wages of U.S. workers.

The processing of ETA Form 9089 for labor certification by the DOL can take up to six months. This certification is valid for only 180 days.

Following this, the U.S. employer must file Form I-140, Petition for Alien Worker, for the immigrant. This petition is for the noncitizen worker to obtain lawful permanent residency in the U.S. based on employment. The petition must include proof that the employer can afford the foreign worker’s salary on a permanent, full-time basis.

There is a $700 filing fee for Form I-140, which must be submitted to USCIS before the labor certification’s 180-day validity period ends. The processing time for this form can also extend up to six months.

Catastrophic Waiting Periods

If both ETA Form 9089 and Form I-140 typically require around six months each for adjudication, what accounts for the exceedingly prolonged waiting periods associated with EB-2 and EB-3 visas?

Legislative Caps on Visas

Over three decades ago, Congress established an annual global cap of 140,000 employment-based visas, a figure that has remained unchanged despite growing population sizes and demands.

Each year, out of this total, only 40,000 visas are allocated to the EB-2 visa program, and another 40,000 are set aside for the EB-3 visa category. This allocation includes not only the primary visa applicants but also their eligible dependents, such as spouses or unmarried children under the age of 21. No single country may claim over 7% (or 2,800) of the 40,000 visas available in either category.

In 2022, the Department of Labor processed over 15,000 PERM labor certification applications monthly, with the number surging to over 22,000 in March 2023 alone.

Yet, even after obtaining approval for labor certification (ETA Form 9089) and employment-based immigration (Form I-140), applicants are still required to wait for one of the mere 2,800 green cards allocated per year in their visa category and country to become available.

Projected Delays for EB-2 and EB-3 Visa Applicants

The U.S. Department of State issues a visa bulletin monthly, updating cut-off dates for processing along with other crucial details. These cut-off dates, which are subject to frequent changes, apply across all visa categories.

Applicants for immigration visas are eligible to adjust their status to become permanent residents of the United States only if their priority date precedes the cut-off date in the State Department’s monthly visa bulletin.

A priority date is established on the day USCIS receives the Form I-140 from an EB-2 or EB-3 petitioner. Applicants typically receive a receipt notice (I-797) by mail a few weeks after filing.

The November 2023 visa bulletin from the U.S. Department of State shows a significant rise in global demand for both EB-2 and EB-3 visas, marking the first occasion since FY 2018 that no country is designated as ‘current’ for these visas.

As of November 2023, the cut-off date for EB-2 visas is set at July 15, 2022, for all countries except for India and China, with China’s cut-off at October 1, 2019. For EB-3 visas, the cut-off date is December 1, 2021, for all countries except for China and India, with China’s cut-off at January 1, 2020.

EB-2 or EB-3 applicants with a filing receipt dated before these cut-off dates are eligible to receive a U.S. green card, except for those from India.

Intense Visa Backlogs for Indian Applicants

The situation of visa backlog, or visa retrogression, is particularly dire for Indian nationals compared to other countries.

Manjunath Gokare, the founder and partner at Gokare Law Firm with a focus on immigration, notes, “The number of Indians in queue for green cards is at a staggering 1.1 million; with most in EB-2 and EB-3 categories.”

As of March 2023, there are 395,958 approved I-140 petitions in line for an EB-2 visa, with India accounting for 90% of these applications, or 358,078. Additionally, there are 129,754 approved petitions for the EB-3 visa, 89% of which are from Indian applicants.

By November 2023, the cut-off date for EB-2 visas for Indians is set for petitions filed before January 1, 2012. For EB-3 visas, the Indian cut-off date is May 1, 2012. This indicates that only applicants who submitted their I-140 petitions over ten years ago are currently eligible to receive their green cards.

Given that nearly 400,000 approved Indian nationals are competing for one of the 2,800 EB-2 visas available annually, simple calculations suggest that recent applicants could face a wait of up to an astounding 128 years for an EB-2 visa, or 41 years for an EB-3 visa.

And with the volume of applications reaching 15,000 each month in recent times, the backlog is expected to further increase.

EB-5 Visas: An Alternative Analysis?

The EB-5 Immigrant Investor Program stands as a highly dependable path to obtaining employment-based permanent residency in the United States.

Unlike other visa categories, there’s no need for an employer to sponsor EB-5 visas. This autonomy allows EB-5 holders the freedom to live, work, and study anywhere across the U.S. and switch jobs without affecting their resident status.

To qualify, EB-5 applicants must invest a minimum of $800,000 in a new U.S. commercial enterprise that will generate at least ten full-time permanent jobs for American workers, with these positions lasting no less than two years.

Although the EB-5 visa wait times have seen an uptick due to various reasons, including closures of consular services during the pandemic, the typical application processing for an entire family is within 5 to 8 years.

Countries with high demand may experience longer processing times. Nonetheless, EB-5 visas not claimed in countries with lower demand are reallocated to applicants from countries with higher demand, such as India or China, the following year.

EB-2 and EB-3 visa holders have the option to transition to the EB-5 visa, involving additional steps.

While the EB-5 visa comes with a higher price tag compared to EB-2 and EB-3 visas, the shorter waiting periods, particularly for Indian nationals, make it an attractive alternative. For those with available capital, the EB-5 visa not only accelerates residency acquisition but also offers potential returns on the investment should the enterprise succeed.

Legislative Solutions for the Visa Queue

The extensive backlogs for EB-2 and EB-3 visas are deterring highly qualified immigrants from seeking entry into the United States, presenting long-term detrimental effects on the U.S. economy’s vitality.

To mitigate these backlogs, Congress has the option to augment the annual allotment of employment-based immigrant visas. Similarly, it could eliminate per-country visa caps, a measure already omitted in certain visa categories.

Furthermore, Congress could boost funding to USCIS or the Department of Labor, enabling the recruitment of additional staff to review petitions. Efficiencies could also be realized through internal improvements to the PERM labor certification process and the overall operations of USCIS.

For detailed insights into employment-based visas, including the EB-5 investor visa, consider arranging a free consultation with EB5AN today, or reach out via email at info@EB5AN.com.

Investing in industrial warehouse ventures has traditionally been seen as a dependable and profitable option in real estate. However, recent market trends have sparked questions about the practicality of these investments, especially considering factors like oversupply and rising interest rates.

In this article, we will look into the reasons why industrial warehouse investments might not be the best choice for EB-5 investors, and explore safer options.

The Oversupply Issue

Before taking a closer look at industrial warehouses as an EB-5 investment option, investors must first understand the dynamics of the market. The last ten years have seen a sharp rise in the need for warehouse spaces, due to the surge in e-commerce, shifts in consumer habits, and streamlined supply chains. This surge attracted a wave of investors, causing a significant build-out of warehouse properties and leading to an excess in available spaces

Market Saturation and Vulnerability

Significant warehouse expansion in major urban logistics centers initially satisfied the growing demand. However, this expansion has then led to market saturation. The abundance of warehouse space has intensified the competition for leasing tenants, causing a decline in rental prices and compressing investors’ profit margins.

By the second quarter of 2023, the vacancy rates were rising, with distribution firms increasingly subletting space, marking the highest sublease rates seen in recent years. “The market is recalibrating, with vacancy expected to slightly rise over the next few quarters as construction deliveries begin to outpace net absorption, reversing the trend of the last two years,” stated a Newmark report.

The glut in warehouse spaces makes the industry vulnerable to economic downturns. In periods of financial instability, the demand for warehousing and distribution can fall, leading to unoccupied buildings and straining the returns for investors.

EB-5 investors need to pay attention to the fact that a sector’s past growth doesn’t guarantee future success, especially when such growth has caused an oversupply.

The Tenant Diversification Issue

The reliance of warehouse investments on particular sectors or key tenants poses a high degree of concentrated risk. If a significant tenant faces economic difficulties or changes their operational approach, it could affect the EB 5 investment’s success.

Warehouses are often built following a market analysis that identifies potential tenants nearby. Financial challenges faced by these tenants can turn the warehouse ineffective. The safest real estate investments have a diverse portfolio of tenants and buyers.

The Effects of Higher Borrowing Costs

The development of industrial warehouses is influenced by interest rates, affecting both demand for warehouse space and the overall project costs. Financing is a common approach for purchasing materials and equipment, and as interest rates rise, so do these expenses, potentially affecting the budget for new warehouse projects.

The value of warehouse properties and the potential lease rates are also affected by fluctuations in interest rates. With higher interest rates, tenants who rely on borrowing for their operations face increased expenses, which may affect their capacity to afford higher lease payments.

In scenarios where rising interest rates affect both the costs and revenues of a project, EB5 investors must reassess the project’s profitability.

Financial Uncertainty

Changes in the global economy, like trade disputes and supply chain disruptions, can impact the industrial warehouse industry. EB-5 investors must also evaluate how these macroeconomic trends could affect their investments.

As explained by The Wall Street Journal in a logistics report published in 2023, retailers have recently decelerated their warehouse leasing due to a decline in the pandemic-induced online shopping boom and the challenges posed by inflation.

Amazon.com Inc., which had expanded its fulfillment network size by double within two years during the pandemic’s peak, started to pull back on its logistics growth, choosing to sublease some of its warehouse spaces.

Adrian Ponsen, the national director of U.S. industrial market analytics at CoStar, observed: “Developers’ profit margins are basically coming under pressure from both sides. At the same time that the hard costs to build these warehouses is rising, the prices that developers think they can ultimately sell them for is beginning to decline.”

The first nine months of 2023 saw industrial property construction initiations plummet by 48% compared to the same timeframe in 2022, marking the steepest fall for that period since 2009. This decline poses big challenges for investors like Blackstone, whose industrial real estate holdings make up a large part of their property portfolio.

The Uncertainty in EB-5 Job Creation

EB-5 projects within the industrial warehouse sector often depend on generating employment through their operations. Creating jobs through operational activities is far less predictable than through construction efforts. In the case of construction-generated jobs, the developer only needs to allocate the planned budget toward construction activities to fulfill the EB-5 job creation requirement. However, job creation based on operational success depends on meeting or surpassing expected revenues.

During periods of economic decline, a project might fall short of its expected revenue, failing to produce the initially planned jobs. This discrepancy highlights the risky nature of depending on operational jobs to meet the EB-5 program’s job creation criteria.

Exploring Safer EB-5 Real Estate Investment Options

The revenue and market valuation of warehouse properties heavily depend on the current economic conditions. EB-5 investors, who usually expect short-term returns and full repayment of their investment, face difficulties during economic downturns. Selling or refinancing property becomes hard in a weak market, which may extend investment periods or result in capital losses. These types of investments carry significant risks for EB-5 investors due to their cyclical nature.

EB-5 real estate projects built by reliable developers, however, offer a more secure investment pathway compared to cyclical options. With the right approach to EB-5 project selection, investors can benefit from diligent planning, stringent oversight, and proven track records. By focusing on steady construction-based job creation rather than being heavily influenced by economic cycles, these projects mitigate both financial and immigration risks EB5 investors might face.

Investing in the right EB-5 project not only offers the potential for timely financial returns but also presents a faster and smoother process toward obtaining a Green Card in the United States, with the subsequent opportunity to apply for citizenship.

For further insights into the EB-5 process, book a call with our team and discover which real estate investments are most suited to your specific needs and preferences.

With its world-renowned universities attracting over a million international students annually, the United States is a prime destination for holders of the F-1 student visa. Yet, this visa comes with several limitations, including constrained work options. The EB-5 program, however, provides a solution to these limitations, offering numerous advantages to foreign students.

Launched in 1990, the EB-5 Immigrant Investor Program aims to boost the U.S. economy and generate employment through investments. It has become an appealing option for foreign nationals, especially Indian students looking to advance their education and career prospects in the U.S.

By investing in a qualified EB-5 project, Indian students have the opportunity to secure permanent residency (Green Card) in the U.S. and ultimately pursue citizenship.

Through this article, Indian students can gain insight into the EB-5 investment route to permanent residency in the U.S., and get a better understanding of the benefits and challenges associated with the EB-5 visa.

How Can Investors Qualify for an EB-5 Visa?

To secure a permanent Green Card through the EB-5 visa, foreign nationals need to fulfill the requirements listed below:

• The investor should possess a minimum net worth of $1,000,000 or have an annual income of more than $200,000 over the past two years, or a combined income with their spouse of $300,000 in the same timeframe.
• The investor must invest the minimum amount of $1,050,000 into an EB-5 project, or invest $800,000 in a project located within a Targeted Employment Area (TEA).
• The EB-5 capital must be invested into a qualifying New Commercial Enterprise (NCE).
• The EB-5 investment project must lead to the creation of at least 10 full-time jobs for U.S. workers for each investor and maintain these jobs for two years.
• The source of the investment funds must be verifiable, legally obtained, and fully traceable.

Advantages of the EB-5 Visa for Students from India

The EB-5 program offers numerous advantages to Indian students, particularly in the areas of education and employment. Securing a U.S. Green Card via the EB-5 program enables international students to benefit from higher chances of admission, reduced tuition fees, access to a wider range of job opportunities, and unrestricted entry into the U.S. job market following their graduation.

Higher Education in the U.S.

Universities in the U.S. are frequently found at the top of global rankings, attracting a vast pool of both American and international students and leading to a competitive selection process.

U.S. universities also tend to admit fewer international students compared to domestic ones. However, as Green Card holders are classified as residents, they apply to colleges in the same category as U.S. citizens, as opposed to foreign applicants. This classification increases the chances of EB-5 investors when it comes to being accepted into higher education institutions in the United States.

The advantages for international students holding an EB5 visa extend beyond their chances of admission. Being considered U.S. residents, these students qualify for the reduced in-state tuition rates available in their state of residence, potentially leading to substantial savings — in some cases, up to $22,000 annually.

Job Opportunities and Residency

In addition to competitive admissions and high tuition fees, international students holding an F-1 visa may encounter work restrictions. Although they can work off-campus under specific conditions, many are confined to on-campus employment, which restricts their career advancement and ability to gain relevant work experience.

EB 5 visa holders face none of these limitations. They enjoy the same liberties as U.S. students, including the ability to engage in full-time or part-time work off-campus, secure internships, and pursue postgraduate opportunities.

This freedom to work without restrictions not only provides additional income but also enhances their resumes, giving EB-5 investor students a competitive edge in the U.S. job market upon graduation.

For international students planning to stay in the U.S. after graduation, the typical route involves applying for an H-1B visa, a lottery-based system historically posing challenges for Indian nationals as it requires sponsorship from a U.S. employer.

The EB-5 visa allows graduates to stay, live, and work in the U.S. without the complications of securing another visa. Unlike other pathways, the EB-5 program doesn’t require employer sponsorship, providing graduates the freedom to compete in the job market on equal footing with U.S. citizens.

An immigrant visa, EB-5 offers a much more permanent immigration plan than any student or employment visa, as those require frequent renewals. Through the EB-5 program, Indian students can obtain a permanent Green Card and apply for U.S. citizenship after five years of residency.

Indian students who are already in the U.S. can also count their two-year EB-5 conditional residency period towards their U.S. citizenship process.

Potential Pitfalls for Indian Students

The EB-5 program offers several benefits to investors and students, but understanding the risks they might face is also important for a successful immigration journey.

The risks involved in the EB-5 investment process fall into two main categories: financial and immigration risks. Financial risk involves potential loss of investment capital, while immigration risk is about the investor’s chances of obtaining a permanent U.S. Green Card.

Financial Risks

Qualified investors must be very careful while selecting an EB-5 project, with a minimum investment of either $800,000 or $1,050,000 depending on the project’s location, alongside other costs like filing fees and administrative costs. Furthermore, the program mandates that investments must be “at risk” without any guarantee of return, implying a potential for either partial or total capital loss.

Immigration Risks

There is an annual cap on the number of available EB-5 visas, divided among different countries. When this limit is exceeded, this triggers visa retrogression, delaying the process for applicants from countries with high demand, such as India. This could result in extended wait times for many Indian investors, so they should follow the monthly visa bulletins from the Department of State to stay informed about their country’s visa status.

However, Indian investors can bypass long wait times and enjoy priority processing through the reserved EB-5 categories that are in current status across all countries.

Investing in a rural EB-5 project is one strategy for Indian investors to qualify for such a reserved visa, streamlining their path to obtaining an EB-5 visa.

Starting the EB-5 Process

The EB-5 program is one of the quickest routes for Indian individuals to secure U.S. Green Cards for themselves and their families. Thanks to the priority processing opportunities, Indian students can live and work in the United States without getting affected by backlogs or having to depend on riskier, non-immigrant visa alternatives like H-1B.

To start the EB-5 process, Indian nationals are advised to seek guidance from industry experts, such as EB-5 immigration attorneys, during the investment process and beyond. These professionals can provide answers, offer counsel, and help navigate any potential visa issues.

Before taking the first step to start your EB-5 journey, please schedule a call with our team to discuss the details of your specific case and learn more about how you can obtain U.S. permanent residency through an EB-5 investment.

In order to acquire U.S. citizenship, a person must either be born to a U.S. citizen, born on U.S. soil to non-citizen parents, or go through the naturalization process after securing permanent residency.

There are several pathways to obtaining an immigrant visa, which lead to permanent residency (commonly called Green Card) in the U.S. These include marriage-based pathways, the diversity visa lottery, and some employment-based options, like investment visas.

Investment visas require a substantial financial contribution to a new enterprise in the U.S. that creates jobs, without the need for a sponsor or specific skills. After fulfilling the requirements of the investment program, the investor is granted an immigrant visa, which means they can be eligible for U.S. citizenship after a certain amount of time.

In this guide, we will explore investment-based pathways to U.S. residency, like the EB-5 visa and the E-2 visa, as well as the subsequent steps to apply for citizenship.

Benefits of Obtaining a U.S. Investment Visa

By obtaining lawful permanent resident (LPR) status via an investment visa, a foreign national is able to:

• Speed up the visa acquisition process compared to most other routes.
• Reside, study, work, and retire across the United States.
• Enroll in the U.S. education system.
• Benefit from top-tier medical services.
• Earn a return on their investment.
• Secure visas for their spouse and unmarried children under the age of 21.
• Pursue naturalization after five years to achieve citizenship status.

Overview of the EB-5 Immigrant Investor Program

Foreign investors who satisfy the criteria of the EB-5 Immigrant Investor Program can get a Green Card and subsequently apply for U.S. citizenship. This program was created in 1990 to boost the U.S. economy through job creation.

Processed by the United States Citizenship and Immigration Services (USCIS), the EB-5 Program is the quickest pathway to obtaining an immigrant investment visa.

Eligibility Criteria for an EB-5 Investor Visa

To be eligible for an EB-5 visa, foreign nationals need to fulfill the following criteria:

• A minimum investment of $800,000 in a Targeted Employment Area (TEA) or $1,050,000 everywhere else.
• A clean criminal background.
• Investment capital must be legally obtained and at risk, with no assurance of return.
• The investment must be placed in either a New Commercial Enterprise (NCE) or an existing business undergoing major restructuring.
• The investment should lead to the creation of at least 10 full-time positions for U.S. workers, sustained for a minimum of two years after the investment.

The Two EB-5 Investment Types

The EB-5 Immigrant Investor Program offers two distinct investment pathways: direct and Regional Center investments, each with its unique set of requirements.

Direct Investments

Direct investments take place without the involvement of third parties.

• The investor is required to engage in the business’s operations personally, either in a managerial role or through direct involvement.
• The business itself must directly create the required 10 full-time positions.

Regional Center Investments

These investments are made through a USCIS-designated EB-5 regional center (RC).

• EB-5 Regional Center investors generally join a limited partnership with other foreign investors, and have minimal involvement in the business’s operations.
• The 10-job requirement can be met through direct, indirect, and induced jobs (with the latter two resulting from the economic influence of the project).

Both direct and Regional Center NCEs can be situated in a Targeted Employment Area for a reduced minimum investment, while investments in additional categories (such as rural TEAs, infrastructure projects, etc.) can lead to priority visa processing opportunities and a faster pathway to U.S. citizenship.

EB-5 Visa Application Process Explained

An EB-5 application undergoes three separate phases before receiving full approval. To understand the details of this process, seeking counsel from an experienced immigration attorney is highly recommended.

Step One: Committing to an EB-5 Investment

Choosing a New Commercial Enterprise

Prior to investing, an EB5 investor needs to select a New Commercial Enterprise that aligns with their preferences. Factors to consider include:

• The amount of financial capital available to them.
• Their interest in starting and managing their own business.
• The choice between a Regional Center and a direct investment.
• The project’s reliance on EB-5 funding.

Investing in the EB-5 Project

Upon selecting a New Commercial Enterprise, either in the form of a new business or an EB-5 project, the investor needs to sign a partnership agreement with the business, usually involving the transfer of the necessary funds into an escrow account.

Submitting Form I-526/I-526E

Every EB-5 investor needs to file either Form I-526, Immigrant Petition by Standalone Investor or Form I-526E, Immigrant Petition by Regional Center Investor, to USCIS. At this stage, the application must include evidence that the investor qualifies for the application, the investment funds are held in escrow, and the EB-5 project is expected to generate the required jobs.

Some of the required documents for Form I-526/I-526E includes:

• Bank statements and tax filings.
• EB-5 NCE partnership agreements.
• Loan agreements.
• Business plans and economic analyses.
• Certificates of birth, marriage, divorce, etc.
• Personal details.

Currently, there is a filing fee of $3,675 for the application, however, USCIS is raising the fee to $11,160 on April 1, 2024.

The approval timeframe for I-526/I-526E can vary significantly depending on each EB-5 case. For current estimates regarding the EB-5 processing timeline, investors can check USCIS case processing times.

Step Two: Achieving Conditional Permanent Residency

Following the approval of Form I-526, an EB5 investor, along with their spouse and children under 21, can apply for a conditional EB-5 Green Card.

If they are in the U.S. at the time of application, they need to submit Form I-485, Application to Register Permanent Residence or Adjust Status, to USCIS. The current filing fee for Form I-485 is $1,170, although this will also increase with the April 1 fee hike.

Under the EB-5 Reform and Integrity Act of 2022 (RIA), EB-5 investors that are already in the U.S. can file their Form I-485 while filing their Form I-526, known as concurrent filing.

If the investor is outside the U.S. during the application process, they must initially complete Form DS-260, Immigrant Visa Electronic Application, at their local U.S. consulate or embassy to secure their immigrant visa.

Step Three: Removing Conditions on Permanent Residency

Before the end of their conditional residency, the foreign national must file Form I-829, Petition by Investor to Remove Conditions on Permanent Resident Status. It is important to do this within 90 days before the two-year period is up.

Along with Form I-829, investors must file:

• Proof that the NCE created and maintained 10 full-time jobs for two years, and the initial investment remained at risk.
• Financial and personal information.
• A copy of the conditional EB 5 visa.

As of March 2024, the filing fee for Form I-829 is $3,750, in addition to a biometrics fee of $85. The filing fee will increase to $9,525 on April 1, 2024.

When an EB 5 investor’s Form I-829 is approved, the conditions on their permanent residency are removed. The investor and their family then become permanent residents in the U.S., with unconditional Green Cards.

Gaining U.S. Citizenship After the EB-5 Investment

After maintaining lawful permanent resident (LPR) status for five years, foreign individuals are eligible to seek U.S. citizenship through naturalization. EB-5 investors can apply after only three years, as their two years of conditional lawful permanent resident (CLPR) status count towards this requirement.

To apply for naturalization, lawful permanent residents must file Form N-400, Application for Naturalization, and meet the following criteria:

• Not having spent more than half of the five-year period outside the U.S., or any stay longer than 180 days at a time.
• Holding a clean criminal record.
• Paying a filing fee of $640 plus the $85 biometric fee, if applicable.
• Undergoing an interview with USCIS officials.
• Successfully completing an English language test, if applicable.
• Knowing and understanding U.S. civics
• Taking the Oath of Allegiance to the United States.

Children under 18 acquire citizenship when their immigrant parents become citizens. Those over 18 and spouses must individually submit naturalization applications and fulfill the same requirements.

The processing time for Form N-400 is currently estimated to be around seven months, depending on the specific Service Center. Upon approval, the individual becomes a U.S. citizen, enjoying full benefits like owning a U.S. passport, voting, and immunity from deportation.

Introduction to the E-2 Treaty Investor Visa

Investors interested in starting their own business or working in the U.S. have an alternative through the nonimmigrant E-2 Treaty Investor Visa. This visa also benefits the investor’s immediate family, certain employees, and their dependents. However, it does not offer a direct route to permanent residency or citizenship, and it is only available to investors of certain nationalities.

Being a nonimmigrant visa, the E-2 is temporary, so the holder must be planning to leave the U.S. when the visa expires. That said, as long as the E2 conditions are met, the visa can be renewed every two years.

E-2 Visa Investment Requirements

The main criterion of the E-2 visa is citizenship of countries that have a specific treaty agreement with the United States, such as Grenada, Montenegro, and Turkey.

Individuals who are not from treaty countries need to obtain citizenship from one of them, and reside there for at least three years before they can qualify for an E-2 visa.

Although there’s no strict minimum investment for starting an E-2 business, investing at least $100,000 is advisable to secure E-2 petition approval. Criteria for E-2 eligibility include:

• The enterprise must be a for-profit, non-marginal business.
• The investment capital must be at risk.
• The business should create at least five full-time jobs for U.S. workers within two years.
• The investor must have a direct role in the company’s management.
• A minimum of 50% of the company must be owned by nationals of the investor’s home country.

Procedure for E-2 Visa Application

For E-2 visa applicants outside the U.S., Form DS-160, Online Nonimmigrant Visa Application must be submitted to their nearest U.S. embassy or consulate. The application fee for Form DS-160 is $205.

E-2 investors within the U.S. are required to submit Form DS-156, Nonimmigrant Visa Application, to the U.S. Department of State. Nonimmigrant visa application processing fee under the E-2 category is currently $315.

There can be an additional biometrics fee of $85 for both forms. Required supporting documents include:

• Photograph(s).
• Passport and personal details.
• Proof of the business’s eligibility, such as a business plan and economic analysis.
• Proof of source of funds.

Once their applications are complete, E-2 investors need to attend an interview at their local U.S. consulate or embassy.

Following the approval of their applications, investors must file Form I-129, Petition for a Nonimmigrant Worker, which currently comes with a processing fee of $460. A new fee of $510 will be effective April 1, 2024. The approval process can take up to six months, after which the investor and their family receive their nonimmigrant E-2 visas.

Path to U.S. Citizenship via E-2 Investment

The nonimmigrant E-2 visa does not lead to naturalization as a U.S. citizen; only the EB-5 visa does that as an immigrant investor visa. However, an E-2 visa holder can petition for their E-2 case to be converted to an EB-5 case.

Transitioning from an E-2 to an EB-5 Visa

Upon transitioning their project to EB-5, the E-2 investor needs to fulfill a broader set of criteria, including raising the minimum investment amount to at least $800,000 and generating 10 full-time jobs, an increase from the previous requirement of five.

Comparing the EB-5 and E-2 Visas

Below is a comparison of the EB-5 Immigrant Investor visa and the E-2 Treaty Investor visa:

Feature	EB-5 Immigrant Investor	E-2 Treaty Investor
Minimum Investments	$800,000 – $1,050,000	~ $100,000
Eligible Persons by Relation	Dependent Family	Dependent Family, Certain Employees and Their Dependent Family
Residency Status	Permanent	Temporary
Path to Citizenship	Yes	No

Obtaining U.S. Citizenship Through Investment

Both the EB-5 and E-2 programs can be excellent routes for individuals seeking U.S. residency through investment, albeit with significant differences. Depending on factors like nationality, available funds, and interest in business management, prospective investors can weigh their options to decide which one better suits their family’s needs and preferences.

However, for investors with long-term plans to live, work and retire in the U.S., only the EB-5 visa provides a direct pathway to U.S. citizenship. If you are a foreign investor looking to move to the United States, book a call with our team to learn more about your permanent residency and citizenship options.

For more than a decade, India has been a leading force in the EB-5 market, along with other high-demand nations such as China and Vietnam.

Yet, with high demand comes extended waiting periods, and this has long applied to India, as well. Backlogs, compounded by the pandemic era and the temporary lapse of the EB-5 Regional Center program, have further affected the EB-5 visa processing times for Indian applicants.

Fortunately, the EB-5 Reform and Integrity Act of 2022 (RIA) not only brought the EB-5 Regional Center Program back in full force but also opened up pathways that significantly reduce wait times for applicants from India. For details of how the RIA impacts their specific EB-5 processes, foreign nationals are advised to seek guidance from an experienced immigration attorney.

In this article, we will outline the EB-5 processing times for Indian applicants, and provide interested investors with a detailed guide on the steps involved.

Timeline for Indian Applicants to Secure an EB-5 Visa

Navigating the EB-5 investment journey can be a long-term commitment, especially for citizens of backlogged countries who filed their applications prior to the RIA. For new applicants, the United States Citizenship and Immigration Services (USCIS) offers average processing timelines on its website, but these should not be seen as precise guarantees of how long applicants will wait.

Given the ever-changing variables that affect processing times, coupled with the specifics of each immigration case, it’s difficult to pinpoint exact durations. However, the approximate timelines provided below can serve as a useful guide for Indian investors to estimate their wait times.

Filing the Application

Form I-526/I-526E marks the beginning of the EB-5 visa application, aiming to show that the investor complies with USCIS standards. Direct investors submit Form I-526, Immigrant Petition by Standalone Investor. Meanwhile, regional center investors file Form I-526E, Immigrant Petition by Regional Center Investor.

There are certain processes before the approval of I-526/I-5326E petitions. If there is incomplete or inconsistent information in the immigrant visa petition, USCIS will seek further clarification through a request for evidence (RFE).

An RFE, while not a denial, delays the investor’s EB-5 process. To minimize the risk of RFEs, it’s crucial for investors to provide comprehensive documentation with their I-526 or I-526E petition, carefully arranging the data as required.

Given the unique nature of each EB-5 investment, the documentation needed for every I-526 and I-526E petition varies. The preparation of this EB-5 visa application can take anywhere from weeks to months, depending on the specific details of the investor’s situation.

Priority Dates

In some cases, the demand for EB-5 visas from certain countries exceeds the available visa numbers. Under these circumstances, applicants’ progression in the EB-5 process depends on their priority date, which is the date their I-526 petition was received by USCIS.

Investors whose priority date is later than the cut-off date are required to wait until their priority date becomes “current.” Once a cut-off date becomes current, it means that EB-5 applicants from that country are eligible to advance in the immigration visa process, irrespective of their priority date.

There are two categories of cut-off dates: “dates for filing,” which determine when investors can submit their visa applications to the National Visa Center (NVC), and “final action dates,” which dictate when visas can be issued to them.

Investment Options and TEAs

The choice of investment pathway by an EB-5 applicant can affect the timeline of their application process. EB-5 investments are primarily divided into direct investments and those made through regional centers.

These investments are further divided into Targeted Employment Area (TEA) projects or non-TEA projects. TEAs are defined as areas in need of economic development and job creation. There are two types of TEAs: rural TEAs and high unemployment areas.

Rural TEAs are characterized by a population of fewer than 20,000 people; are not next to cities with populations exceeding 20,000; and lie outside metropolitan statistical areas (MSAs).

For an area to be considered a high-unemployment TEA, it must show an unemployment rate that is at least 150% above the national average. Some infrastructure projects are also eligible to offer similar benefits to TEAs, irrespective of the location.

Aside from a reduced investment threshold of $800,000 as opposed to $1,050,000 in non-TEA projects, investors in rural TEA projects benefit from expedited processing for their I-526 petitions from USCIS, a factor that is particularly appealing to investors from backlogged countries like India.

This means that choosing a rural TEA project can translate into wait times of under one year for Indian EB-5 investors.

History of EB-5 Visa Processing Times for Indian Applicants

The EB-5 processing times for Indian investors are now faster than they have ever been, in the case of rural TEA investors.

Though Indian applicants have faced backlogs and delays across different periods of time, 2020 was an especially challenging year due to the pandemic-related closure of USCIS offices and the cancellation of all visa appointments, which delayed the EB-5 process for numerous investors. Furthermore, the suspension of routine visa services by U.S. consulates and embassies abroad meant that investors were unable to attend visa interviews.

The lapse of the EB-5 Regional Center Program in June 2021 also put many I-526 petitions on hold and stopped potential investors from submitting new applications.

In 2022, with the EB-5 Reform and Integrity Act, these obstacles were overcome, with added benefits for Indian EB-5 investors who apply under the EB-5 set-aside reserved categories, with currently no backlogs.

A Detailed Guide to Steps and Timelines for Indian EB-5 Applicants

As briefly mentioned above, the EB-5 process begins with the filing of Form I-526/I-526E, where the applicant must prove compliance with all USCIS regulations. Following the approval of their petitions, investors proceed with either Form DS-260 or Form I-485, depending on their location. Once EB-5 investors obtain their conditional green cards, they can benefit from residency privileges in the U.S., and after maintaining this status for two years, they are eligible to remove conditions on their green cards and become permanent residents. You can read more about the details of this process below.

Understanding the I-526/I-526E Petition Process

Once an EB-5 investor’s I-526/I-526E petition is approved, the applicant is granted conditional residency for two years in the U.S., setting the stage for eligibility for a permanent green card and eventual citizenship.

The processing times for I-526 and I-526E petitions vary, depending on application volume and visa availability. An increase in Form I-526 and I-526E filings also increases the number of individuals eligible for a visa, potentially causing backlogs and extended waiting periods.

Factors such as the case’s complexity and the specific service center processing the application also affect the timeline.

The current application fee for Form I-526 is $3,675, but this amount is prone to change, with a significant fee increase to take effect on April 1, 2024. Investors should consult the USCIS website for the latest fee information before submitting their application.

Navigating Forms DS-260 and I-485

Following the approval of the I-526 or I-526E petition, EB-5 visa applicants outside the United States must go through consular processing and submit Form DS-260, Immigrant Visa and Alien Registration Application.

This application is presented to the U.S. consulate or embassy in the investor’s country of residence and forwarded to the National Visa Center.

Upon approval, the applicant is granted conditional permanent resident status in the U.S. The duration for consular processing can depend on the specific consulate or embassy, but generally takes between 3 to 12 months.

For EB-5 investors residing within the U.S., the procedure differs slightly. Instead of DS-260, these investors submit Form I-485 for adjustment of status.

It’s possible to file Form I-485 at the same time as Form I-526, known as concurrent filing. Concurrent filing allows the applicant to legally reside and work in the U.S., as well as apply for a travel permit, even before obtaining the EB-5 visa.

The application process includes a filing fee of $1,140 for Form I-485 and a biometrics fee of $85, though the USCIS fee hike of April 1, 2024, brings these numbers up to a total of $1,440.

Unlike the DS-260, Form I-485 is processed by USCIS for adjustment of status and is not sent to the National Visa Center.

Filing the I-829 Petition

Form I-829 represents the final step for EB-5 visa applicants, filed after concluding their two-year period of conditional residency. This petition is a declaration to USCIS that the investor has fulfilled all prerequisites of the EB-5 program.

Approval of the I-829 petition lifts the conditions on the investor’s residency, granting the investor, their spouse, and any unmarried children under 21 the right to permanent residency in the United States.

Investors must file their I-829 petition within the final 90 days of their conditional residency.

It’s advised to start the preparation process well in advance to ensure that USCIS receives the petition within this critical 90-day window, as failure to do so may risk the investor’s opportunity for permanent residency.

As of February 2024, the wait time announced on the USCIS website for this form is approximately 66 months. While the I-829 petition is under review by USCIS, the investor’s conditional residency status is extended beyond their green card’s expiration date.

The application fee for Form I-829 currently stands at $3,750 with an additional biometrics fee of $85. With the April 1 fee increase, this number jumps to $9,525.

Insights for Indian EB-5 Investors

The U.S. Department of State (DOS) publishes a Visa Bulletin every month, which provides cut-off dates via a final action dates chart and a dates for filing chart.

According to the Visa Bulletin for March 2024, the final action date for Indian applicants under the unreserved categories is December 1, 2020.

However, the EB-5 reserved categories for rural, high-unemployment and government infrastructure categories remain “current” for all countries, including India and China, meaning that there are no backlogs in these categories.

Indian citizens interested in applying for the EB-5 program are encouraged to book a call with EB5AN to learn more about their options.

A U.S. investor visa provides international individuals with the opportunity to build a new life in the United States by investing in a local enterprise. Through an investment visa, foreign investors and their immediate family gain the privilege to reside, work, and pursue education in the U.S.

Although eligibility for investor visa programs varies by country, many international applicants are able to seek a U.S. investor visa. Popular among applicants, EB-5 and E-2 investor visas both offer paths into the U.S., but they have their differences.

What Kinds of Investment Visas Are Available in the United States?

This article outlines the basics of the EB-5 and E-2 visas, including eligibility criteria and the benefits they come with. Read more to discover the processes behind EB-5 and E-2 investor visas, compare the two options, and decide which one aligns best with the needs and expectations of you and your family.

Steps to Securing an EB-5 Investor Visa

Established by Congress in 1990, the EB-5 Immigrant Investor Program aims to bolster the U.S. economy by fostering job creation and capital investment. Foreign nationals who invest the required amount of capital in the United States are eligible for the EB-5 visa, paving the way towards U.S. citizenship.

More than three decades after its inception, the EB-5 program continues to be a sought-after route for investors looking to establish a life in the U.S.

The EB-5 visa provides foreign investors and their families permanent residency in the U.S., also known as a green card, if they invest in a new commercial enterprise, or NCE.

This includes green cards for the investor’s spouse and dependent children, as well. Investors interested in the EB-5 visa should evaluate their investment options before starting the application process.

Investment Options for the EB-5 Visa

EB-5 Immigrant Investor Program applicants can opt between two investment strategies: direct investment and the regional center pathway. It’s crucial for investors to fully grasp each option prior to making a choice.

While both investment routes ultimately aim for similar EB-5 visa qualifications, the complexity and accessibility of the immigration process can vary based on the chosen investment path.

The key distinctions between the direct investment and the regional center model lie in the structure of the EB-5 project, the level of investor engagement, and the approach to job creation.

Direct EB-5 Investments

In the direct investment option, investors either fully own or share ownership of the new commercial enterprise. This option is often favored by those looking to manage and directly operate their business, ensuring full control over their investment.

Direct investments demand active involvement from the investor in managing, decision-making, and day-to-day operations of the enterprise, typically focusing on a narrower range of project types like restaurants, hotels, and retail outlets.

EB-5 Regional Center Investments

On the other hand, regional centers are entities designated by USCIS that aggregate investments from multiple investors into various projects. Here, the invested capital is directed towards a commercial venture backed by the regional center, with the investor playing a minimal role in the daily management of the project.

This indirect approach significantly contributes to the popularity of the regional center route among the majority of EB-5 investors.

EB-5 Visa Requirements

Whether an investor chooses a direct investment or the regional center pathway, there are certain requirements the EB-5 project must fulfill, mainly regarding the new jobs it creates for U.S. citizens and the minimum investment amounts.

Job Creation

A key benefit of the EB-5 program is its emphasis on job creation. Every EB-5 investor is required to generate at least 10 full-time positions for U.S. workers, which are classified into three types: direct, indirect, and induced jobs.

Direct jobs refer to full-time positions that are officially part of the company’s workforce. On the other hand, indirect and induced jobs are those generated as a result of the economic benefits a project brings.

Direct investors are limited to counting only direct jobs towards their EB-5 requirement, whereas regional center investors have the advantage of including direct, indirect, and induced jobs in the count.

This distinction makes the job creation requirement significantly easier for regional center investors.

Targeted Employment Areas (TEAs)

Besides selecting from the two investment strategies, foreign individuals can opt to invest in areas designated for economic enhancement, referred to in the EB-5 program as Targeted Employment Areas (TEAs).

TEAs are categorized as either rural locations or areas with high unemployment rates, offering the advantage of a reduced investment threshold compared to non-TEA regions. Some public infrastructure projects also meet similar TEA criteria.

As of March 2022, the baseline investment required is $1,050,000 for projects outside TEAs, while investments within TEAs are set at a lower rate of $800,000.

Key Components of Form I-526 Submission

After initiating an EB-5 investment, a foreign national is required to compile essential documents and submit Form I-526/I-526E, marking the initial application phase for the EB-5 visa. Form I-526 is used by direct investors, while I-526E is used by investors who are investing through regional centers.

The United States Citizenship and Immigration Services (USCIS) scrutinizes the I-526 application, making it crucial for investors to accurately detail the necessary information in their application. Hiring an immigration attorney can facilitate this process and help secure a fast and smooth approval of the I-526 petition.

The application must present proof that fulfills several criteria: adherence to the EB-5 program’s investment requirements, lawful acquisition and investment of capital in a new commercial enterprise, sufficient job creation through the investment, and depending on the investment pathway, involvement of the investor in the project.

At-risk Investment

First and foremost, the I-526 petition needs to confirm that the investment meets or exceeds the EB-5 program’s minimum financial commitment. To comply with USCIS standards, this investment must be “at risk” in the NCE.

Supporting evidence might also be required, including the NCE’s bank records reflecting the investment receipt, documentation of assets purchased for the NCE, promissory notes, securities agreements, and escrowed funds.

For those investing the reduced amount of $800,000, proof of the NCE’s location in a TEA is also required.

Source of Funds

Demonstrating that the investment funds were legally sourced is crucial for the I-526 application. Detailed documentation is necessary to trace the investment’s legal origins for USCIS, covering the path of the funds from their origin to the NCE. This process is commonly called “EB-5 source of funds” and includes any funds earned by the investor or obtained indirectly, such as through gifts or inheritance.

Documentary evidence can vary based on how the funds were obtained, potentially including promissory notes, financial statements, stock sale evidence, dividend certificates, property sale records, mortgages, and banking records. For capital received from another individual, like gifts or inheritances, documentation confirming the funds’ lawful origin is also needed.

Investment in an NCE

The I-526 petition must establish that the capital was invested in an NCE, a post-1990 for-profit entity engaging in lawful commercial activities.

If the investment establishes a new NCE, required documents include articles of incorporation, partnership agreements, certificates of partnership, business banking details, a state business license, and an Employer Identification Number (EIN).

For investments expanding or acquiring an existing business, further documents may include merger certificates, acquisition certificates, financial reports, stock purchase agreements, and shareholder agreements.

Proof of Job Creation and Involvement

The EB-5 investment must generate at least 10 full-time jobs for U.S. workers to meet USCIS standards. Proof within the I-526 petition should demonstrate job creation or future plans for it, typically through a comprehensive business plan indicating the need for at least 10 employees.

For regional center investments, an economist’s report may be needed to detail indirect and induced job creation, given the complexity of calculating these employment types.

Investors must also validate their operational role in the NCE. Direct investors usually need to show significant involvement in the enterprise, with documentation reflecting their title and responsibilities, or proof of board membership, officer status, or partnership. On the other hand, regional center investors, often part of limited partnerships, can show less managerial involvement.

Personal Information

Beyond the above requirements, the I-526 petition should include personal data, such as the investor’s passport, medical examination results, any legal proceedings within the last 15 years, and civil documents like birth and marriage certificates.

Benefits of Holding an EB-5 Investor Visa

Upon fulfilling EB-5 requirements and securing approval for their I-526 petition, investors obtain a conditional green card valid for two years. This extends to the investor’s spouse as well.

Eligibility includes same-sex spouses, though not common-law partners. Children qualify if they are under 21 and not married, including biological, adopted, and step-children. The primary applicant must prove their relationship with the children.

The EB-5 visa enables investors to reside, study, work, and retire anywhere within the U.S., and permits the return of investment funds following the project’s completion. Additionally, it offers entry into the U.S. healthcare and educational systems.

The EB-5 conditional green card remains valid for two years upon receipt. After this period, investors may apply for a permanent green card using Form I-829.

The conditional residency duration is counted towards the five-year permanent residency requirement for naturalization. This enables investors to start their U.S. citizenship journey once they receive their conditional green card.

Introduction to the E-2 Investor Visa in the U.S.

For foreign individuals who fulfill certain criteria, the E-2 visa can be considered an alternative to the EB-5 visa, offering a non-immigrant pathway that allows investors to work within the U.S.

The required investment for an E-2 visa, while still “substantial,” is typically lower than the investment needed for the EB-5 program. The E-2 visa process also tends to be faster than that of the EB-5 visa.

E-2 visa recipients can gain the right to work for a U.S.-based company they establish, positioning themselves as both the sponsor and the employee. E-2 visa holders’ spouses are also eligible to receive work authorization in the U.S.

This visa is issued for two-year intervals and can be extended indefinitely, provided that E-2 non-immigrants consistently show intent to depart the U.S. once their visa expires or their status is terminated.

Criteria for Qualifying as an E-2 Investor

The main criterion for E-2 visa eligibility is the applicant’s nationality. While the EB-5 program is open to foreign nationals from any country—albeit with varying wait times—E-2 investor eligibility is restricted to citizens of countries that have an E-2 treaty with the U.S., such as Montenegro, Grenada, or Turkey.

Countries like China, India, and Vietnam, which do not have an E-2 treaty with the U.S., see a high demand for the EB-5 visa, leading to processing backlogs.

Investors from these countries may bypass these delays by acquiring citizenship in an E-2 treaty nation and then applying for an E-2 visa to invest in the U.S., offering a faster path into the U.S. However, investors need to keep in mind that the E-2 visa is not an immigrant visa.

The complete list of nations with an E-2 treaty with the U.S. is available on the website of the U.S. Department of State.

E-2 visa applicants, like EB-5 investors, are required to invest in a U.S. enterprise. However, the E-2 does not specify a minimum investment amount as the EB-5 does.

According to USCIS guidelines, the investment must be substantial enough to purchase or create an enterprise, indicate a genuine financial commitment to the venture’s success, and suggest that the enterprise will be successfully developed and managed.

The appropriate investment amount varies by the nature and industry of the enterprise, with an unofficial minimum suggested at $100,000. Investments below this threshold may face challenges in approval.

A larger investment amount makes it easier to demonstrate the investor’s commitment to the venture.

Comparing the EB-5 and E-2 Investment Visas

The following section outlines the main distinctions between the two visa categories:

Minimum Investment Amounts

• EB-5: $1,050,000 for non-TEA investors; $800,000 for TEA investors.
• E-2: No fixed minimum, but $100,000 is generally recommended as the minimum viable investment.

Additional Costs

• EB-5: The current filing fee for Form I-526 is $3,675, but USCIS is raising the fee to $11,160 on April 1, 2024. Additional filing costs apply for Form DS-260 or Form I-485. Form I-829 filing fee is currently $3,750, also to be affected by the April 2024 fee increase. Extra costs include biometrics, medical exams, document procurement, translations, and immigration attorney fees.
• E-2: Application fee is $460 for investors in the U.S., with an additional $370 for each dependent. There are extra costs for biometrics, services, and additional documentation.

Eligibility

• EB-5: Available to foreign nationals from any country.
• E-2: Restricted to citizens of countries with an E-2 visa treaty with the U.S.

Processing Time

• EB-5: USCIS processing for Form I-526 can take relatively longer, depending on origin country.
• E-2: Applicants can obtain the visa within a few months after filing.

One of the most significant differences between the two visas is the potential for permanent residency. The EB-5 visa can lead to a green card after two years of conditional residency, offering a path to permanent U.S. residency and eventually citizenship. In contrast, the E-2 visa, being a non-immigrant visa, does not directly lead to a green card. This is why many investors view the E-2 as a preliminary step towards achieving permanent residency through the EB-5 program later on.

Why Investment Visas Are a Prime Route to U.S. Residency

Investment visas in the U.S. offer excellent pathways for eligible individuals to attain residency in the United States, enabling them to work, live, and pursue education in the nation. Interested investors need to weigh their immigration goals to decide between the EB-5 and E-2 visas.

The EB-5 visa caters to those aiming for permanent residency, offering a route to establish a long-term life in the U.S. On the other hand, the E-2 visa appeals more to individuals seeking a quicker route to work in the U.S., making it an attractive option for those with short-term professional aspirations. It is essential to carefully evaluate these options to determine which one aligns best with your specific plans to immigrate to the United States.

Individuals interested in the EB-5 program are encouraged to take the next step by scheduling a consultation with EB5AN and seeking out an experienced immigration lawyer for further guidance.